Financed ProjectsVestel/Zorlu Group

Identification Code:

OP/02/0361

Total Operation Cost:

0

Maturity:

72 months

Operation Status:

Description and Purpose of the Operation:

Vestel Beyaz Esya A.S. (Vestel White), based in Turkey, is one of the major domestic white goods manufacturers, set up to produce household appliances such as refrigerators, freezers, air conditioners, and washing machines. The Company belongs to Zorlu Group of Companies (Zorlu Group) whose main business activities are in textiles, electronics, consumer durable goods, finance, energy and aviation sectors. The Group's products are exported to more than 100 countries in Western Europe, North and South America, Middle East, North Africa, Australia, Eastern Europe and the CIS. The BSTDB loan was used for equipping the new washing machines plant. The investment was completed as planned in 2003, with a capacity of 600,000 units per year, of which over 70% for export.

Countries of Operation:

Türkiye (100,00 %)

Financial Product:

Loans

Sector:

Consumer Discretionary

Domain:

Private

Borrower/Client:

Vestel White was established in Manisa Industrial site in 1997 and commenced its working activities in 1999.The Company manufactures white goods such as refrigerators and air conditioning appliances. Production of washing machines started in 2003. The Company employs over 1,000 staff.

Co-Financiers/Participants:

Fortis Bank N.V., ABN Amro Leasing, BNP AK Dresdner Leasing

Guarantors/Sponsors:

Vestel Dis Ticaret A.S.

Developmental and Regional Cooperation Impact:

The loan facility contributed to: - Enhancing regional cooperation via exports; - Creating new jobs; - Generating additional export earnings and tax revenues in Turkey; - Expanding the side industry that supply inputs to the Company.

Environmental Classification and Impact (summary):

The environmental analysis of the project acceptability, undertaken by the BSTDB Environmental Unit, was based mainly on the findings of the Environmental Impact Assessment (EIA) study that the Client had conducted as a requirement of the national legislation for this type of investments. Additional environmental investigations were carried out to ensure that the project is consistent with BSTDB environmental policy and procedures.

Operation Leader:

General Industries, Transport, Tourism 2

E-mail:

gitt2@bstdb.org